Los Angeles and Other Cities Stash Money to Prepare for a Recession

The nation’s second-largest city has set aside close to $500 million across several funds to help weather emergencies and financial shocks, said Matt Szabo, Mayor Eric Garcetti’s top budget adviser. It had about $192 million in reserves before the last recession, which officially lasted from December 2007 to June 2009. It wasn’t enough: police overtime, fire service and street repairs took a hit, among other city services, Mr. Szabo said.